Subscription incorrect nextScheduledBillingDate

[alberto_chesa]

Hi,

I've created today 07/31/2023 a subscription, with a 3 months on reference date billing interval.

The expected nextScheduledBillingDate it's 10/31/2023 but what I receive checking the API is 08/01/2023.

This is the POST Subscription request

{  
  "customer": {
    "id": "4208752860"    
  },
  "market": {
    "id": "ES7XX"
  },
  "validFrom": "2023-07-31T10:24:55.000Z",  
  "snapshots": [
    {
      "effectiveDate": "2023-07-31T10:24:55.000Z",
      "items": [
        {
          "itemId": "1",
          "product": {
            "code": "00312257_3M"
          }
        }
      ]      
    }
  ]
}

{
    "metaData": {
        "version": 1
    },
    "subscriptionDocumentId": "1337",
    "subscriptionId": "A40B12ED-B925-401E-B5AF-3DD92988BE04",
    "subscriptionProfile": {
        "id": "1",
        "replicateSubscriptionsToProviderContract": false,
        "requireContractAccount": false,
        "forecastTypeId": "1",
        "activateUtilitiesExtension": false
    },
    "status": "Active",
    "customer": {
        "id": "4208752860"
    },
    "payer": {
        "id": "4208752860"
    },
    "shipTo": {
        "id": "4208752860"
    },
    "billTo": {
        "id": "4208752860"
    },
    "market": {
        "id": "ES7XX",
        "timeZone": "Europe/Madrid",
        "currency": "EUR"
    },
    "subscriptionTimeZone": "Europe/Madrid",
    "validFrom": "2023-07-31T10:24:55.000Z",
    "billingProfileId": "_initial",
    "billingCycle": "anniversary-quarterly",
    "nextScheduledBillingDate": "2023-07-31T22:00:00.000Z",
    "billingCycleReferenceDate": "2023-04-30T22:00:00.000Z",
    "cancellationPolicy": {
        "allowMidBillCycleExpiration": true
    },
    "canceledWithOverruledTerms": false,
    "pauseSchedule": [],
    "withReferenceToPricingScheme": false,
    "customReferences": [],
    "externalObjectReferences": [],
    "notificationSettings": [],
    "isPending": false,
    "isFailed": false,
    "isRejected": false,
    "createdAt": "2023-07-31T13:04:11.402Z",
    "changedAt": "2023-07-31T13:04:11.402Z",
    "documentNumber": 1337,
    "snapshots": [
        {
            "effectiveDate": "2023-07-31T10:24:55.000Z",
            "items": [
                {
                    "itemId": "1",
                    "lineNumber": "1",
                    "product": {
                        "id": "1e194e64-bc9c-49e1-a633-297fb757c8f4",
                        "code": "00312257_3M",
                        "name": "Producto de limpieza",
                        "configuration": []
                    },
                    "subscriptionParameters": [],
                    "technicalResources": [],
                    "subscriptionType": "Commercial",
                    "createRating": true,
                    "createBill": true,
                    "createInvoice": true,
                    "ratePlan": {
                        "id": "6201a1d8-699e-4cd4-847e-4593020ab6cd",
                        "source": "product"
                    },
                    "pricing": {
                        "pricingParameters": [],
                        "overridableFields": []
                    },
                    "customReferences": [],
                    "externalObjectReferences": [],
                    "providerContractItems": []
                }
            ],
            "createdAt": "2023-07-31T13:04:11.402Z"
        }
    ]
}

I assume that is something related with billingCycleReferenceDate that is set to 2023-04-30T22:00:00.000Z (3 months in the past) but I don't understand the reason for having this value.

In other older subscription I'm getting the expected date. For example, this was created on 07/28/2023 and the nextScheduledBillingDate is on 10/28/2023 which is correct.

{
    "metaData": {
        "version": 3
    },
    "subscriptionDocumentId": "1334",
    "subscriptionId": "F58558D9-FE62-418D-BA22-BE263EFD0F5B",
    "subscriptionProfile": {
        "id": "1",
        "replicateSubscriptionsToProviderContract": false,
        "requireContractAccount": false,
        "forecastTypeId": "1",
        "activateUtilitiesExtension": false
    },
    "status": "Active",
    "customer": {
        "id": "2792970217"
    },
    "payer": {
        "id": "2792970217"
    },
    "shipTo": {
        "id": "2792970217"
    },
    "billTo": {
        "id": "2792970217"
    },
    "market": {
        "id": "NLBoschB2C7XX",
        "timeZone": "Europe/Amsterdam",
        "currency": "EUR"
    },
    "subscriptionTimeZone": "Europe/Amsterdam",
    "validFrom": "2023-07-28T11:16:48.000Z",
    "billingProfileId": "_initial",
    "billingCycle": "anniversary-quarterly",
    "nextScheduledBillingDate": "2023-10-27T22:00:00.000Z",
    "billingCycleReferenceDate": "2023-07-27T22:00:00.000Z",
    "cancellationPolicy": {
        "allowMidBillCycleExpiration": false
    },
    "canceledWithOverruledTerms": false,
    "pauseSchedule": [],
    "billSplitElement": "862202cf-d173-445c-b23d-d578c7921d3c",
    "withReferenceToPricingScheme": false,
    "customReferences": [],
    "externalObjectReferences": [],
    "notificationSettings": [],
    "isPending": false,
    "isFailed": false,
    "isRejected": false,
    "createdAt": "2023-07-28T11:23:34.821Z",
    "changedAt": "2023-07-31T12:49:34.936Z",
    "changedBy": "CHA1ZAG",
    "documentNumber": 1334,
    "snapshots": [
        {
            "effectiveDate": "2023-07-28T11:16:48.000Z",
            "items": [
                {
                    "itemId": "1",
                    "lineNumber": "1",
                    "product": {
                        "id": "e41e9af5-5057-4213-96ad-a38d4f0be9d9",
                        "code": "00623653_3M",
                        "name": "Spons voor het Reinigen van een Stoomoven.",
                        "configuration": []
                    },
                    "subscriptionParameters": [],
                    "technicalResources": [],
                    "subscriptionType": "Commercial",
                    "createRating": true,
                    "createBill": true,
                    "createInvoice": true,
                    "ratePlan": {
                        "id": "dfd73ab9-f5af-4c01-bd87-825d1616b76c",
                        "source": "product"
                    },
                    "pricing": {
                        "pricingParameters": [],
                        "overridableFields": []
                    },
                    "customReferences": [],
                    "externalObjectReferences": [],
                    "providerContractItems": []
                }
            ],
            "createdAt": "2023-07-28T11:23:34.821Z"
        }
    ]
}

Please, could you help to understand what is happening?

BR,

Alberto.

[CarstenJ · Accepted solution]

Hello Alberto,
thank you for this question, which is referencing a special case of the billing cycle logic.
In your example, the subscription starts at one of the last days of the month, which are not always present in other months (29th, 30th or 31st of a month). Independent from the billing cycle length, the start date for billing is in that case shifted to the first of the next month (First of August Midnight in the market time zone, which is 2023-07-31T22:00:00.000Z in UTC).

The reference date is then automatically determined according to the billing cycle anniversary-quarterly, i.e. a quarter before 2023-07-31T22:00:00.000Z. The reference date shall not be after the subscription start date.

In your second example, the subscription starts at the 28th of a month, for which this specific logic is not applied.

Btw, you can control if the system prorates these late days in the month or not using the end-of-month rule, but the shift of the billing cycle start date cannot be influenced currently.

You can get more information in the feature overview for SAP Subscription Billing:https://help.sap.com/docs/CLOUD_TO_CASH_OD/e4aa21cd43494cc1a8a90ea0f3dab8bb/4eee44d73c124846a49fdaa684c70af1.html?locale=en-US

Best regards,
Carsten